The scheme envisions establishing 25 “solar parks” in the next five years, which would allow for the deployment of 20 gigawatts (GW) of solar photovoltaic systems. Each individual solar park would have space for installation of between 500 megawatts and 1 gigawatt of capacity.

India will need to expand its power generating capacity to achieve its ambitious growth projections over the next decade.

Most of India is located in areas with high levels of solar insolation.

The “solar park” is a key part of the strategy. A solar park refers to a concentrated zone for developing solar projects where the resource potential is well characterized and ample infrastructure is available. The objective is to minimize project risks and streamline the permitting process.

In August, MNRE circulated a draft of the Ultra Mega Solar scheme to local governments that sketched the basic mechanics of the strategy, stating:

Solar power projects can be set up anywhere in the country, however the scattering of solar power projects leads to higher project cost per MW and higher transmission losses. Individual projects of smaller capacity incur significant expenses in site development, drawing separate transmission lines to nearest substation, procuring water and in creation of other necessary infrastructure. Also it takes a long time for project developers to acquire land, get change of land use and various permissions, etc. which delays the project.

The MNRE cites the solar parks in Gujarat – the ‘Charanka Solar Park’ – and Rajasthan – ‘Bhadla Solar Park’ – as models for the parks to be constructed as part of the “Ultra Mega Solar” scheme. The draft proposal describes the Charanka Solar Park in Gujarat “as a pioneering first-of-its-kind large scale solar park in India with clear land and transmission connectivity.”

The Charanka Solar Park has a capacity of 590 MW, out of which 224 MW has already been commissioned by 20 developers, according to the MNRE.

With over 15% of the world’s population, India’s demand for electricity is already significant.

The MNRE will identify the land for the proposed solar parks in each state and select the state agencies for administering a grant providing to support construction of the parks.